I see where you’re coming from, but I don’t agree with the conclusion.
The PS5 is selling as well as the ps4 did, despite shortage and worse economy for most people. Many people don’t want to go from sitting in front of their computer at work to sit in front of a another computer at home. A console is a much more streamlined and casual experience. You don’t have to mess around with 5 different storefronts and a hundred different launchers. You don’t have to worry about the specs of your computer, rising GPU prices, driver issues or half a dozen issues due to bad PC ports. For those sensitive to stutters, the jedi games and a bunch 2023 PC ports are still unplayable.
The mobile market is an almost entirely different demographic and much of that revenue comes as disguised gambling. Mobile gaming market won’t replace the traditional console market, it’s a completely different experience.
Nintendos will continue as long as there are children out there. Nintendo offers a “safe” and curated market for children, both old and young.
The game pass also isn’t much of a moat for Microsoft. Sony has their own offering and nothing stops them from extending it to the PC market, though highly unlikely.
I just don’t see the market of gaming on your couch going away. Many people value the simplicity of consoles, and PlayStation is the big name on the market.